ACCOUNTS - Final Accounts preparation

Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:

Registered number: 00273953

SAFEGUARD COACHES LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

SAFEGUARD COACHES LIMITED

COMPANY INFORMATION

Directors	A J Halliday
	T Hunter
	D K Newman
	J C Newman
	M G Newman
	J A Vallance (appointed 1 February 2026)


Company secretary	A J Halliday


Registered number	00273953


Registered office	Safeguard House
	Clay Lane
	Jacobs Well
	Guildford
	Surrey
	GU4 7NZ


Independent auditors	Shaw Gibbs (Audit) Limited
	Statutory Auditor
	Wey Court West
	Union Road
	Farnham
	Surrey
	GU9 7PT

SAFEGUARD COACHES LIMITED

CONTENTS

	Page
Strategic report	1 - 2
Directors' report	3 - 4
Independent auditors' report	5 - 8
Statement of income and retained earnings	9
Statement of financial position	10 - 11
Statement of cash flows	12 - 13
Analysis of net debt	13
Notes to the financial statements	14 - 29

SAFEGUARD COACHES LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

The Board of Directors have pleasure in presenting their strategic report for the year ended 31st December 2025.

Principle activities

The Company continues to operate local bus services in Guildford and provide coach services comprising a mixture of private hire and contract hire, from its bases in Guildford and Farnham.

Business review

The Company saw a profit before tax of £1,707,858. Turnover was £5,053,592, [2024: £5,263,299] -4% lower than prior year. Operating profit for the year decreased by £405,648 to £574,255 compared to last year [2024: £979,903].
Other income from fixed assets investments, £1,039,021, following the sale of the Guildford Town Centre yard and offices substantially increased other income in 2025. This and other areas of income raised the profit before tax to the level of £1,707,858 [2024: £1,018,827].
The decrease in operating profit compared to 2024 reflected the number of Bus service routes operated throughout the year being reduced in the last third of the year, Coach private hire income being slightly down -4% and vehicle running costs up 14%.
The Company has a good reputation, a very strong balance sheet, a good team of staff.
Safeguard has transitioned well to conforming to the new accessibility regulations that have come into force in both bus and coach operations.

Principal risks and uncertainties

The Company is aware of the future uncertainty of operating bus services due to changes in regulation especially regarding franchising.
Coach hire remains unpredictable with world affairs in the middle east having an impact on foreign tourists.
Traffic congestion in Guildford, cities and major roads and other key operating areas makes the operation of reliable bus and coach services ever more challenging and costly.
Rising costs of servicing through ever increasing costs of parts and the unpredictability of fuel cost is an ongoing concern.
The level of competition in the local coach market has increased during 2025 and this has increased business uncertainty but the company is able to make dynamic changes quickly and efficiently to help address operational concerns or adjustments.
Despite the various challenges faced the Company remains in good shape and well-positioned to continue successfully trading.

Financial key performance indicators

The main key financial performance indicators are turnover and net profit.

Page 1

SAFEGUARD COACHES LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Other key performance indicators

The company once again achieved a 100% first time MOT pass rate during the year and experienced no other compliance issues.
Safeguard was externally audited for its rail replacement services provided and achieved a high score of compliance.

This report was approved by the board and signed on its behalf.

J A Vallance Director	A J Halliday Director

Date: 28 August 2026

Page 2

SAFEGUARD COACHES LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

The directors present their report and the financial statements for the year ended 31 December 2025.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Company's financial statements and then apply them consistently;

∙make judgments and accounting estimates that are reasonable and prudent;

∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The profit for the year, after taxation, amounted to £1,414,817 (2024 - £743,178).

Dividends of £1,139,139 have been paid in the year (2024 - £314,740).

Directors

The directors who served during the year were:

A J Halliday

T Hunter

D K Newman

J C Newman

M G Newman

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 3

SAFEGUARD COACHES LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Auditors

The auditors, Shaw Gibbs (Audit) Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.

J A Vallance Director	A J Halliday Director

Date: 28 August 2026	Date: 28 August 2026

Page 4

SAFEGUARD COACHES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SAFEGUARD COACHES LIMITED

Opinion

We have audited the financial statements of Safeguard Coaches Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of income and retained earnings, the Analysis of net debt, the Statement of financial position, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 December 2025 and of its profit for the year then ended;

∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

∙have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Page 5

SAFEGUARD COACHES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SAFEGUARD COACHES LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

∙adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

∙the financial statements are not in agreement with the accounting records and returns; or

∙certain disclosures of directors' remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Page 6

SAFEGUARD COACHES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SAFEGUARD COACHES LIMITED (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We focused on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation.
Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

Use of our report

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Page 7

SAFEGUARD COACHES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SAFEGUARD COACHES LIMITED (CONTINUED)

Stephen Morgan FCA (Senior statutory auditor)

for and on behalf of

Shaw Gibbs (Audit) Limited

Statutory Auditor

Wey Court West

Union Road

Farnham

Surrey

GU9 7PT

8 September 2026

Page 8

SAFEGUARD COACHES LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

FOR THE YEAR ENDED 31 DECEMBER 2025

	2025	2024
Note	£	£


Turnover	3	5,053,592	5,263,299
Cost of sales		(3,636,583)	(3,497,175)
Gross profit		1,417,009	1,766,124
Administrative expenses		(863,258)	(791,347)
Other operating income	4	20,504	5,126
Operating profit		574,255	979,903
Income from fixed assets investments	8	1,039,021	2,224
Profit/loss of listed investments		24,550	22,053
Interest receivable and similar income	9	57,865	13,515
Interest payable and similar expenses	10	(12,335)	(2,524)
Fair value movement on investments		24,502	3,656
Profit before tax		1,707,858	1,018,827
Tax on profit	11	(293,041)	(275,649)
Profit after tax		1,414,817	743,178



Retained earnings at the beginning of the year		4,935,306	4,506,868
		4,935,306	4,506,868
Profit for the year		1,414,817	743,178
Dividends declared and paid	12	(1,139,140)	(314,740)
Retained earnings at the end of the year		5,210,983	4,935,306

There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of income and retained earnings.

The notes on pages 14 to 29 form part of these financial statements.

Page 9

SAFEGUARD COACHES LIMITED

REGISTERED NUMBER: 00273953

STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2025

		2025		2024
Note		£		£

Fixed assets
Tangible assets	13		4,640,372		4,305,758
Investments	14		436,401		387,152
Investment property	15		-		796,825
			5,076,773		5,489,735
Current assets
Stocks	16	69,593		70,653
Debtors: amounts falling due within one year	17	319,562		295,447
Cash at bank and in hand	18	2,026,686		860,345
		2,415,841		1,226,445
Creditors: amounts falling due within one year	19	(616,588)		(483,496)
Net current assets			1,799,253		742,949
Total assets less current liabilities			6,876,026		6,232,684
Creditors: amounts falling due after more than one year	20		(261,345)		-
Provisions for liabilities
Deferred tax	22	(603,597)		(497,277)
			(603,597)		(497,277)
Net assets			6,011,084		5,735,407

Capital and reserves
Called up share capital	4,199	4,199
Revaluation reserve	-	795,901
Capital redemption reserve	1	1
Profit and loss account	6,006,884	4,935,306
	6,011,084	5,735,407

Page 10

SAFEGUARD COACHES LIMITED

REGISTERED NUMBER: 00273953

STATEMENT OF FINANCIAL POSITION (CONTINUED)

AS AT 31 DECEMBER 2025

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

J A Vallance	A J Halliday
Director	Director

Date: 28 August 2026

The notes on pages 14 to 29 form part of these financial statements.

Page 11

SAFEGUARD COACHES LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	1,414,817	743,178
Adjustments for:
Depreciation of tangible assets	563,710	528,909
Loss on disposal of tangible assets	(974,732)	4,907
Interest paid	12,335	2,524
Interest received	(59,550)	(15,739)
Taxation charge	293,041	275,649
Decrease in stocks	1,060	3,644
(Increase)/decrease in debtors	(24,116)	65,201
(Decrease) in creditors	(10,244)	(51,041)
Corporation tax (paid)	(208,443)	(175,920)
Profit or loss on sale of listed investments	547	1,491
Fair value movement on investment	(48,703)	(25,426)
Net cash generated from operating activities	959,722	1,357,377

Cash flows from investing activities
Purchase of tangible fixed assets	(1,027,229)	(749,083)
Sale of tangible fixed assets	66,300	2,899
Sale of investment properties	1,834,161	-
Purchase of listed investments	(300,055)	(415,579)
Sale of listed investments	299,509	417,070
Interest received	57,865	13,515
HP interest paid	(12,335)	(2,524)
Income from investments	1,685	2,224
Profit or loss on sale of listed investments	(547)	(1,491)
Net cash from investing activities	919,354	(732,969)
Cash flows from financing activities
Repayment of/new finance leases	426,405	-
Dividends paid	(1,139,140)	(314,740)
Net cash used in financing activities	(712,735)	(314,740)
Net increase in cash and cash equivalents	1,166,341	309,668
Cash and cash equivalents at beginning of year	860,345	550,677
Cash and cash equivalents at the end of year	2,026,686	860,345

Page 12

SAFEGUARD COACHES LIMITED

STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

		2025	2024
		£	£

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	2,026,686	860,345
	2,026,686	860,345

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2025


At 1 January 2025	Cash flows	New finance leases	At 31 December 2025
£	£	£	£

Cash at bank and in hand	860,345	1,166,341	-	2,026,686
Debt due within 1 year	(692)	(5,136)	-	(5,828)
Related derivatives	-	-	(426,405)	(426,405)
Finance leases	-	-	(426,405)	(426,405)
	859,653	1,161,205	(852,810)	1,168,048

The notes on pages 14 to 29 form part of these financial statements.

Page 13

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

1.	General information

Safeguard Coaches Limited (00273953) is a private limited company, limited by shares and incorporated in England and Wales. The registered office is Safeguard House, Clay Lane, Jacobs Well, Guildford, GU4 7NZ.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

2.2

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.3

Leased assets: the Company as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.4

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Page 14

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.5

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.6

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

2.7

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

Page 15

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.8

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using either the straight-line or reducing balance method..

Depreciation is provided on the following basis:

Freehold property	-	Straight line over 50/25 years
Coaches, buses and other vehicles	-	10% to 25% reducing balance
Other fixtures and fittings	-	10% to 25% reducing balance
Computer equipment	-	Straight line over 4 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

2.9

Investment property

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

2.10

Valuation of investments

Investments in listed company shares are remeasured to market value at each Statement of financial position date. Gains and losses on remeasurement are recognised in profit or loss for the period.

Page 16

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.11

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.12

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.13

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

2.14

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.15

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as

Page 17

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.15

Financial instruments (continued)

subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

2.16

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Turnover

Analysis of turnover by country of destination:

					2025	2024
					£	£

	United Kingdom	5,053,592	5,263,299

Page 18

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

4.	Other operating income
		2025	2024
		£	£

	Sundry income	20,504	5,126

Fees payable to the Company's auditors for the audit of the Company's financial statements

300

Wages and salaries	2,276,842	2,238,864
Social security costs	279,828	231,760
Cost of defined contribution scheme	55,304	50,480
	2,611,974	2,521,104

The average monthly number of employees, including directors, during the year was as follows:

	2025	2024
	No.	No.

Employees	61	60

Page 19

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

7.	Directors' remuneration
		2025	2024
		£	£

Directors' emoluments	75,792	86,113
Directors national insurance	5,747	9,134
Company contributions to defined contribution pension schemes	3,113	4,335
	84,652	99,582

During the year retirement benefits were accruing to 5 directors (2024 - NIL) in respect of defined contribution pension schemes.

8.	Income from investments
		2025	2024
		£	£

Income from fixed asset investments	1,685	2,224
Investment property profit on disposal	1,037,336	-
	1,039,021	2,224

9.	Interest receivable
		2025	2024
		£	£

Other interest receivable

57,865

13,515

10.	Interest payable and similar expenses
		2025	2024
		£	£

Finance leases and hire purchase contracts

12,335

2,524

Page 20

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Corporation tax
Current tax on profits for the year	186,721	208,465
	186,721	208,465

Total current tax	186,721	208,465

Deferred tax
Origination and reversal of timing differences	106,320	67,184
Total deferred tax	106,320	67,184


	Tax on profit	293,041	275,649

Page 21

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

11.Taxation (continued)

Profit on ordinary activities before tax

1,707,858

1,015,171

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	426,964	253,793
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	(13,289)	1,955
Capital allowances for year in excess of depreciation	(91,135)	(53,429)
Other timing differences leading to an increase (decrease) in taxation	(259,334)	827
Capital gains	123,515	5,319
Movement on deferred tax	106,320	67,184
Total tax charge for the year	293,041	275,649

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

12.	Dividends
		2025	2024
		£	£

Ordinary Share Dividends	1,121,280	299,750
B Share Dividends	17,860	14,990
	1,139,140	314,740

Page 22

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.	Tangible fixed assets

	Freehold property	Motor vehicles	Fixtures and fittings	Garage equipment	Computer equipment
	£	£	£	£	£
Cost or valuation
At 1 January 2025	2,574,107	6,125,877	158,146	65,403	3,089
Additions	-	937,200	22,619	67,410	-
Disposals	-	(1,105,804)	(66,848)	(15,493)	-
At 31 December 2025	2,574,107	5,957,273	113,917	117,320	3,089
Depreciation
At 1 January 2025	353,155	4,156,383	74,640	35,077	1,609
Charge for the year on owned assets	50,018	489,031	14,538	9,352	772
Disposals	-	(1,004,621)	(46,028)	(8,592)	-
At 31 December 2025	403,173	3,640,793	43,150	35,837	2,381
Net book value
At 31 December 2025	2,170,934	2,316,480	70,767	81,483	708
At 31 December 2024	2,220,952	1,969,494	83,506	30,326	1,480

Page 23

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.Tangible fixed assets (continued)

		Total
		£
	Cost or valuation
	At 1 January 2025	8,926,622
	Additions	1,027,229
	Disposals	(1,188,145)
	At 31 December 2025	8,765,706
	Depreciation
	At 1 January 2025	4,620,864
	Charge for the year on owned assets	563,711
	Disposals	(1,059,241)
	At 31 December 2025	4,125,334
	Net book value
	At 31 December 2025	4,640,372
	At 31 December 2024	4,305,758

The freehold property was revalued on 20 November 2014 by Philip Commercial Limited on an open market existing use basis. This value was reassesed at 31 December 2015 when preparing accounts for the first time under FRS102. The directors velieve there has been no significant changes in market value since these dates.
If the land and buildings had not been included at valuation, they would have been included under the historical cost convention as follows:

Page 24

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

14.	Fixed asset investments

		Listed investments
		£
	Cost or valuation
	At 1 January 2025	387,152
	Additions	300,055
	Disposals	(299,509)
	Revaluations	48,703
	At 31 December 2025	436,401

15.	Investment property

		Freehold investment property
		£

	At 1 January 2025	796,825
	Disposals	(796,825)
	At 31 December 2025	-

The land included above was sold on 27 March 2025.

The 2025 valuations were made by the directors, on an open market value for existing use basis.

If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:
	2025	2024
	£	£

Historic cost	701,206	717,143
Accumulated depreciation and impairments	(15,937)	(15,937)
	685,269	701,206

Page 25

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

16.	Stocks
		2025	2024
		£	£

Raw materials and consumables	69,593	70,653
	69,593	70,653

17.

Debtors

					2025	2024
					£	£


Trade debtors	163,144	167,984
Other debtors	53,585	32,748
Prepayments and accrued income	102,833	94,715
	319,562	295,447

18.	Cash and cash equivalents
		2025	2024
		£	£

	Cash at bank and in hand	2,026,686	860,345

Page 26

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

19.	Creditors: Amounts falling due within one year
		2025	2024
		£	£

Trade creditors	133,421	104,323
Corporation tax	186,743	208,465
Other taxation and social security	55,019	36,707
Obligations under finance lease and hire purchase contracts	165,060	-
Other creditors	35,460	16,655
Accruals and deferred income	40,885	117,346
	616,588	483,496

The following liabilities were secured:
	2025	2024
	£	£


	Company Credit Card	1,008	448

Details of security provided:

The bank holds a debenture over all assets of the company.

20.	Creditors: Amounts falling due after more than one year
		2025	2024
		£	£

	Net obligations under finance leases and hire purchase contracts	261,345	-

Within one year	165,060	-
Between 1-5 years	261,345	-
	426,405	-

22.	Deferred taxation

Page 27

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

22.Deferred taxation (continued)

		2025
		£

	At beginning of year	(497,277)
	Charged to profit or loss	(106,320)
	At end of year	(603,597)

The provision for deferred taxation is made up as follows:
	2025	2024
	£	£

Accelerated capital allowances	(596,913)	(493,883)
Capital gains	(6,684)	(3,394)
	(603,597)	(497,277)

Page 28

SAFEGUARD COACHES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

23.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

4,199 (2024 - 4,199) Ordinary shares of £1.00 each	4,199	4,199

Contracted for but not provided in these financial statements

550,000

387,000

25.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £56,182 (2024 - £50,480). Contributions totalling £5,828 (2024 - £692) were payable to the fund at the reporting date and are included in creditors.

26.	Related party transactions
	The key management personnel in the year were all directors. The total compensation for key management personnel (including directors) for the year was:

Page 29